Collecting sales tax for online sales

E-commerce sellers face complex challenges complying with new state tax rules post-South Dakota v. Wayfair. Collecting sales tax for online sales is no easy task. Yet staying organised and keeping up with e-commerce sales tax requirements is a must do.

A big challenge is monitoring sales thresholds in various states to register for tax collection and file returns – in some cases even reporting zero sales just to maintain registration. Correctly determining tax rates based on products sold and meeting different filing frequencies (whether monthly, quarterly, or annually) adds to the new burdens brought by South Dakota v. Wayfair.  

States themselves struggle to keep track of online sales and taxes to figure out how to apply their rules to online companies and ensure compliance. This can be confusing for businesses and, while still common, manual processes for tracking inventory and state tax rates are no longer fit for purpose.  

e-commerce sellers must navigate intricate state tax requirements intensified by South Dakota v. Wayfair back in 2018 and there's a shift towards using automation to manage the changing tax rates, streamline returns, and reach compliance.  

E-commerce sales tax solutions like Vertex simplifies the South Dakota v. Wayfair implications, providing significant support in maintaining compliance and operational efficiency. Vertex calculates the right sales tax rates for products or services sold, considering changing tax rates and rules. Generating accurate returns and facilitating easy remittance to jurisdictions. Beyond compliance e-commerce tax solutions can also help your businesses take advantage of sales tax holidays without the hassle of manual uploads or tracking changes.  

Navigating e-commerce tax: South Dakota v. Wayfair implications

Join Vertex Senior Product Manager, Mark Sieczkowski, as he discusses the questions from e-commerce businesses and key South Dakota v. Wayfair implications for your business.  

Throughout this video blog hear about:

• Compliance concerns  
• Tax function challenges for retailers  
• Reporting and filing requirements
• Why traditional processes could be hurting your business  
• How e-commerce sales tax solutions can help.